Pratt Out Of Running For Contract

October 29, 1988|By JIM McNAIR, Business Writer

Pratt & Whitney was eliminated on Friday from a U.S. Army contract competition that is expected to produce 5,000 helicopter engines by the year 2005.

Pratt & Whitney, which performed the principal design work for the proposed Army LHX helicopter at its Palm Beach County center, had been teamed with The winners, the team of Allied-Signal`s Garrett Engine Division and General Motors` Allison Gas Turbine Division, received a two-year $75.4 million contract to continue development of the helicopter`s T800 engine, the Army said.

After the two-year period, Garrett and Allison will compete against each other during the production and support stage of the T800 contract. Both likely will receive a portion of the business, with initial deliveries scheduled for 1995.

A Pratt & Whitney spokesman said the company was disappointed by the announcement. However, employment at the plant will not be affected by the loss of a single contract as much as it is by business levels in general.

``We see a large potential international and commercial market for an engine in this power class and plan to continue the development of a commercial T800 engine and/or derivatives to address those markets,`` the company said in a prepared statement.

Sikorsky Aircraft, a sister unit of Pratt & Whitney, is still in the competition to produce the LHX helicopter. The Army plans to buy 2,096 LHXs to replace its aging fleet of AH-1 Cobras, OH-6 Kayusas and OH-58 Kiowas.

When completed, the T800 engine procurement will have become the largest purchase of aviation engines in Army history. The program was also the first time the Army used competitive bidding methods that guarantee a second production source for the same approved design.